Question: If investors require a 7% nominal return and the expected inflation rate is 2%, what is the expected real return? Select one: a. 5.21% b.

If investors require a 7% nominal return and the expected inflation rate is 2%, what is the expected real return? Select one: a. 5.21% b. 4.90% c. 5.04% d. 3.88% e. 2.88%

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